WallStSmart

MPLX LP (MPLX)vsTarga Resources Inc (TRGP)

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Smart Verdict

WallStSmart Research — data-driven comparison

Targa Resources Inc generates 39% more annual revenue ($16.74B vs $12.03B). MPLX leads profitability with a 39.3% profit margin vs 13.6%. TRGP appears more attractively valued with a PEG of 1.23. TRGP earns a higher WallStSmart Score of 64/100 (C+).

MPLX

Buy

60

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 4.0Quality: 4.8
Piotroski: 3/9

TRGP

Buy

64

out of 100

Grade: C+

Growth: 4.7Profit: 8.5Value: 5.0Quality: 3.5
Piotroski: 4/9Altman Z: 1.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MPLXSignificantly Overvalued (-18.6%)

Margin of Safety

-18.6%

Fair Value

$47.16

Current Price

$55.91

$8.75 premium

UndervaluedFair: $47.16Overvalued

Intrinsic value data unavailable for TRGP.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MPLX5 strengths · Avg: 9.4/10
Return on EquityProfitability
33.8%10/10

Every $100 of equity generates 34 in profit

Profit MarginProfitability
39.3%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
38.3%10/10

Strong operational efficiency at 38.3%

Market CapQuality
$60.99B9/10

Large-cap with strong market position

P/E RatioValuation
12.9x8/10

Attractively priced relative to earnings

TRGP4 strengths · Avg: 8.8/10
Return on EquityProfitability
61.9%10/10

Every $100 of equity generates 62 in profit

Market CapQuality
$67.54B9/10

Large-cap with strong market position

Operating MarginProfitability
27.8%8/10

Strong operational efficiency at 27.8%

EPS GrowthGrowth
23.3%8/10

Earnings expanding 23.3% YoY

Areas to Watch

MPLX4 concerns · Avg: 3.0/10
EPS GrowthGrowth
3.2%4/10

3.2% earnings growth

Debt/EquityHealth
1.933/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.152/10

Expensive relative to growth rate

TRGP4 concerns · Avg: 3.5/10
P/E RatioValuation
30.1x4/10

Premium valuation, high expectations priced in

Price/BookValuation
15.5x4/10

Trading at 15.5x book value

Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

Altman Z-ScoreHealth
1.272/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : MPLX

The strongest argument for MPLX centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 39.3% and operating margin at 38.3%. Revenue growth of 10.6% demonstrates continued momentum.

Bull Case : TRGP

The strongest argument for TRGP centers on Return on Equity, Market Cap, Operating Margin. PEG of 1.23 suggests the stock is reasonably priced for its growth.

Bear Case : MPLX

The primary concerns for MPLX are EPS Growth, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.93 is elevated, increasing financial risk.

Bear Case : TRGP

The primary concerns for TRGP are P/E Ratio, Price/Book, Revenue Growth. Debt-to-equity of 5.51 is elevated, increasing financial risk.

Key Dynamics to Monitor

MPLX profiles as a mature stock while TRGP is a value play — different risk/reward profiles.

TRGP carries more volatility with a beta of 0.80 — expect wider price swings.

MPLX is growing revenue faster at 10.6% — sustainability is the question.

MPLX generates stronger free cash flow (682M), providing more financial flexibility.

Bottom Line

TRGP scores higher overall (64/100 vs 60/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

MPLX LP

ENERGY · OIL & GAS MIDSTREAM · USA

MPLX LP owns and operates energy infrastructure and midstream logistics assets primarily in the United States.

Visit Website →

Targa Resources Inc

ENERGY · OIL & GAS MIDSTREAM · USA

Targa Resources Corp. The company is headquartered in Houston, Texas.

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